Canada Unveils Plan to Double Electricity Grid by 2050 to Boost Clean Energy and Lower Costs

Canada has announced an ambitious national strategy to double the capacity of its electricity grid by 2050, in a major push to expand clean energy supply, modernise infrastructure, and reduce long-term electricity costs for households and businesses.

The plan was unveiled by Prime Minister Mark Carney, who said the country must rapidly scale up its power system to meet rising demand driven by electric vehicles, artificial intelligence data centres, industrial expansion, and population growth. Officials estimate the full transformation will require investments exceeding C$1 trillion over the coming decades.

According to the strategy, Canada’s electricity demand is expected to surge significantly, with some projections suggesting increases of up to 75% in key provinces by mid-century. The government says the existing grid; already largely powered by hydroelectric and other low-emission sources, is no longer sufficient to support future economic and technological growth.

A central part of the plan is the expansion and integration of regional grids through new east-west transmission lines, alongside major investments in hydro, nuclear, wind, solar, geothermal energy, and carbon capture systems. The government also signaled a more flexible approach to natural gas as a transitional energy source to ensure reliability.

Officials say the long-term goal is to build a more unified and resilient national grid while keeping electricity affordable. The strategy also includes tax incentives, infrastructure partnerships with Indigenous communities, and retrofitting programs aimed at reducing household energy costs.

Energy experts note that while Canada already generates a large share of its electricity from clean sources, the challenge lies in scaling infrastructure fast enough to avoid shortages and rising prices in the coming decades.